Employee Secondment Document Templates

For an external secondment you typically need two things: a letter or agreement setting out the changed terms for the employee, and a separate agreement between your company and the host organisation. This sub-folder provides both. The Employee Secondment Letter Template and the Covering Letter Confirming Secondment Terms go to the employee, while the Secondment Agreement between Host Company and Employer governs the arrangement between the two businesses, covering pay, reporting lines, liability and intellectual property. For an internal move within your own organisation, use the Employee Secondment Letter Agreement (Internal) instead. A Secondment Policy can underpin both types.

Usually, but not always. An employer cannot unilaterally compel an employee to go on secondment, because a secondment changes the terms of the employment contract. As a general rule you must consult the employee and obtain their agreement before the arrangement begins. The exception is where the existing contract already contains a valid flexibility or mobility clause covering the change, in which case you may require the secondment without fresh agreement, provided you use the clause reasonably. This means giving reasonable notice, consulting first and not breaching trust and confidence or discriminating, and even then you must still act reasonably. Sending an employee on secondment without consent, and without a clause that allows the change, risks a breach of contract claim or, where the employee feels forced to resign, a constructive unfair dismissal claim. The Employee Secondment Letter Template is the document through which the employee confirms acceptance of the secondment terms.

Throughout a properly documented secondment, the original employer remains the legal employer. The employee's contract of employment continues in force, continuity of employment is preserved and the original employer retains responsibility for pay, statutory rights, disciplinary matters and employment protection. The host company takes over day-to-day management but does not become the employer. However, Employment Tribunals look at the reality of the arrangement, not just the label: if the original employer surrenders all practical control, there is a risk that employment is found to have transferred to the host. A well-drafted Secondment Agreement between Host Company and Employer, which clearly allocates responsibilities and confirms that the original employer remains in control, is the primary protection against that risk.

These are two distinct documents that together form the complete documentation for an external secondment. The Secondment Agreement between Host Company and Employer is a commercial agreement signed by the two organisations: it records financial arrangements, reporting lines, liability, confidentiality and intellectual property as between the businesses. The Employee Secondment Letter Template is sent to the employee to set out their changed working arrangements during the secondment, obtain their written agreement and confirm that their original contract of employment continues. The Covering Letter Confirming Secondment Terms can be used once the terms have been agreed to confirm the final position in writing. For internal moves, the Employee Secondment Letter Agreement (Internal) combines both functions in a single document.

Usually, but only where the original contract of employment genuinely continues with the original employer. Where it does, the employee keeps all their statutory employment rights. Continuity of service accrues without interruption, so time spent on secondment counts towards the qualifying period for unfair dismissal protection and statutory redundancy pay. The seconded employee is normally entitled to no less favourable terms on holiday and sick pay than they enjoyed before the secondment. Any enhanced contractual entitlements, such as occupational sick pay or extra annual leave, generally continue as well. This is fact-dependent. Whether a particular secondment amounts to acceptance of a new employment has to be determined on a case by case basis taking into account all relevant factors. Where the arrangement instead amounts to a new employment with the host, for example a separate contract with a different employer, termination of the previous employment and a major change in duties, or where it involves a TUPE transfer, continuity and the original contractual terms may not carry across in the way described. The secondment documents should confirm these arrangements explicitly rather than leaving them to implication.

A Secondment Policy sets out the general principles that apply to both internal and external secondments: eligibility, how secondees are selected (the selection process must be fair, transparent and objective to avoid discrimination claims), what happens to pay and benefits, how performance and discipline are managed during the secondment and what the arrangements are for returning at the end. A policy is most useful where a business expects to run more than one secondment, wants to ensure consistent treatment of staff and needs a reference point for managers. The Simply-Docs Secondment Policy in this sub-folder is designed to work alongside the individual secondment letter and agreement templates.